UK consumer losses from financial fraud hit a four-year high in 2025, according to UK Finance's annual fraud report, as reported by the Financial Times, as the banking industry called for stronger, enforceable fraud-prevention responsibilities on online and telecoms firms.
The FT characterised the losses as the highest since 2021. UK Finance said 66% of APP fraud cases originated online and 17% via telecommunications.
WHAT THE FIGURES MEANT FOR BANKS AND CONSUMERS
UK Finance, the banking trade body, used the data to press for tougher action, including stronger Ofcom enforcement on fraudulent advertising, seller verification on online marketplaces and financial contributions from tech and telecoms firms. UK Finance also wants online marketplaces to use secure payment mechanisms rather than allowing bank transfers off the platform, and tech and telecoms firms to share expertise and intelligence as well as contribute financially.
MARKET AND POLICY IMPLICATIONS
UK Finance put total fraud losses in 2025 at £1.28bn, up 4%, with authorised push payment fraud losses up 19% to £576.4mn; banks reimbursed 61% of APP losses. Ruth Ray, managing director of economic crime at UK Finance, said: "Fraud operates on an industrial scale, harming people, businesses and the UK economy, typically funding serious and organised crime in the UK and globally."
Sources: Financial Times; UK Finance Annual Fraud Report 2026